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Proparco supports Louis Dreyfus Company operations and value chain in the brazilian citrus industry
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Through this US$40 million 10-year loan, for which the signing ceremony took place on November 10, 2022, Proparco will support the company’s actions to address climate challenges and promote socio-economic development in its Brazilian juice value chain.
Brazil accounts for about 60% of the world’s orange juice production. This essential sector for Brazil provides income for hundreds of thousands of people living in rural areas in the citrus belt, in the southeast of the country.
Louis Dreyfus Company (LDC) is a leading global merchant and processor of agricultural goods, with activities spanning the entire value chain, and one of the leading orange juice processors and merchandizers in Brazil. Over one-third of its orange juice production comes from citrus fruits grown on farms managed by LDC in the region, with the rest sourced from local third-party farmers.
Proparco’s loan will support numerous LDC projects and actions to reduce the environmental impact of its Brazilian juice operations, from water treatment and consumption optimization in the context of intensifying droughts, to energy use and emissions reductions.
This facility also stands out thanks to its innovative mechanism allowing LDC to support its third-party suppliers with improving work conditions at their farms and obtaining certification in that respect.
The transaction with LDC is expected to contribute to the United Nations’ Sustainable Development Goals #8 (Decent Work and Economic Growth), #9 (Industry, Innovation and Infrastructure) and #13 (Climate Action).